Redbox: The Movie Rental Industry

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Movie theaters have been around for a long time. As time has evolved movie demand was increasing and wanted a more convenient route. “Blockbuster was founded by David Cook, who had previously owned a business that provided computer software services to the oil and gas industry in Texas. Cook saw the potential in the video-rental business and after opening the first Blockbuster in 1985 (A&E).” and was the only company to provide a walk in store for movie rentals. This business was booming and most of the rental sales came from the first three weeks after a movie was released to VHS or DVD. This niche in the market is rapidly failing today. Redbox was first introduced in 2002. Redbox wanted to make movie rental easy, cheap and convenient. They introduced the first kiosks’ for the movie rental business. They did all of this with making the rental cheap. At Only one dollar per day, you hold the movie as long as you please. You can return the DVDs at any kiosk you please. So in reality you could return your rented movie out of state. Netflix is the leading industry in the movie rental business. They originally started out as a mail in movie rental and have expanded greatly. Now you can stream most movies …show more content…

This was a big attraction for those who did not want to leave the house. They could order a movie and then wait for it to arrive in the mail. This was more convenient then going to Blockbuster to rent a movie, and then have to go back and return the movie. Netflix does not charge you to ship your movies back and forth; they only charge their monthly premium, which is very affordable. Today Netflix streams most of their movies and TV shows. This is what the majority of the Netflix users use, streaming. Netflix still provides their mail in rent movies, but the business is slowly going away from this route. Netflix streaming is the future of movie rentals. Most major movie businesses are moving this

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